Hon Hai Precision Industry Co., Ltd.

TWSE:2317 Stock Report

Market Cap: NT$2.9t

Hon Hai Precision Industry Valuation

Is 2317 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 2317 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 2317 (NT$202.5) is trading above our estimate of fair value (NT$123.8)

Significantly Below Fair Value: 2317 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 2317?

Key metric: As 2317 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 2317. This is calculated by dividing 2317's market cap by their current earnings.
What is 2317's PE Ratio?
PE Ratio17.6x
EarningsNT$159.52b
Market CapNT$2.86t

Price to Earnings Ratio vs Peers

How does 2317's PE Ratio compare to its peers?

The above table shows the PE ratio for 2317 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.1x
2354 Foxconn Technology
30.6xn/aNT$119.5b
4915 Primax Electronics
14.3x12.3%NT$37.3b
2308 Delta Electronics
26.7x15.4%NT$1.0t
2382 Quanta Computer
20.9x19.7%NT$1.1t
2317 Hon Hai Precision Industry
17.6x20.1%NT$2.9t

Price-To-Earnings vs Peers: 2317 is good value based on its Price-To-Earnings Ratio (17.6x) compared to the peer average (23.1x).

Price to Earnings Ratio vs Industry

How does 2317's PE Ratio compare vs other companies in the TW Electronic Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
2317 17.6xIndustry Avg. 22.7xNo. of Companies52PE01632486480+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 2317 is good value based on its Price-To-Earnings Ratio (17.6x) compared to the TW Electronic industry average (22.7x).

Price to Earnings Ratio vs Fair Ratio

What is 2317's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

2317 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.6x
Fair PE Ratio30.9x

Price-To-Earnings vs Fair Ratio: 2317 is good value based on its Price-To-Earnings Ratio (17.6x) compared to the estimated Fair Price-To-Earnings Ratio (30.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 2317 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentNT$202.50
NT$254.11
+25.5%
8.8%NT$290.00NT$190.00n/a18
Nov ’25NT$208.00
NT$246.12
+18.3%
9.5%NT$270.00NT$178.00n/a17
Oct ’25NT$187.00
NT$243.56
+30.2%
9.4%NT$270.00NT$178.00n/a18
Sep ’25NT$184.50
NT$243.56
+32.0%
9.4%NT$270.00NT$178.00n/a18
Aug ’25NT$202.50
NT$238.17
+17.6%
14.1%NT$270.00NT$140.00n/a18
Jul ’25NT$216.00
NT$211.72
-2.0%
15.8%NT$260.00NT$140.00n/a18
Jun ’25NT$172.00
NT$198.22
+15.2%
10.6%NT$227.00NT$140.00n/a18
May ’25NT$156.00
NT$161.11
+3.3%
11.2%NT$200.00NT$122.00n/a18
Apr ’25NT$150.50
NT$157.89
+4.9%
10.0%NT$181.00NT$122.00n/a18
Mar ’25NT$102.00
NT$125.31
+22.9%
11.2%NT$152.00NT$104.00n/a16
Feb ’25NT$103.00
NT$125.13
+21.5%
11.4%NT$150.00NT$104.00n/a15
Jan ’25NT$104.50
NT$125.13
+19.7%
11.4%NT$150.00NT$104.00n/a15
Dec ’24NT$100.50
NT$124.19
+23.6%
11.5%NT$150.00NT$104.00n/a16
Nov ’24NT$95.60
NT$128.50
+34.4%
9.4%NT$149.00NT$110.00NT$208.0016
Oct ’24NT$104.00
NT$130.27
+25.3%
9.2%NT$147.27NT$110.00NT$187.0016
Sep ’24NT$107.50
NT$129.71
+20.7%
9.2%NT$148.00NT$110.00NT$184.5017
Aug ’24NT$110.50
NT$126.65
+14.6%
12.0%NT$151.00NT$105.00NT$202.5017
Jul ’24NT$113.00
NT$124.29
+10.0%
12.2%NT$150.00NT$105.00NT$216.0017
Jun ’24NT$108.00
NT$124.59
+15.4%
12.3%NT$150.00NT$105.00NT$172.0017
May ’24NT$104.50
NT$128.13
+22.6%
10.3%NT$149.00NT$110.00NT$156.0016
Apr ’24NT$104.00
NT$128.13
+23.2%
10.3%NT$149.00NT$110.00NT$150.5016
Mar ’24NT$102.00
NT$129.38
+26.8%
9.8%NT$145.00NT$110.00NT$102.0016
Feb ’24NT$100.00
NT$129.38
+29.4%
9.8%NT$145.00NT$110.00NT$103.0016
Jan ’24NT$99.90
NT$131.81
+31.9%
10.2%NT$150.00NT$110.00NT$104.5016
Dec ’23NT$103.00
NT$132.38
+28.5%
10.0%NT$150.00NT$110.00NT$100.5016
Nov ’23NT$101.50
NT$137.53
+35.5%
10.2%NT$162.00NT$113.00NT$95.6015

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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